Floating solar, a technology that integrates photovoltaic systems onto water bodies such as reservoirs, continues to gain momentum globally. A notable development in the United States is underway in Texas, where Third Pillar Solar has secured exclusive rights to explore the deployment of up to 500 MW of floating solar capacity across multiple water reservoirs. The initiative is being carried out in partnership with Diamond Infrastructure Solutions, which controls access to the sites.
If fully realized, the project could represent an investment of approximately $700 million and would rank among the largest floating solar undertakings worldwide. For comparison, the current largest floating solar installation in North America is just 8.9 MW in New Jersey, primarily serving a water treatment facility. Globally, the largest operational floating solar project is around 440 MW in Taiwan, which underscores the scale of ambition for Texas.
Potential Impact and Benefits:
Several studies highlight the multi-dimensional value of floating solar:
Despite these advantages, floating solar is still considered an emerging segment in the U.S. market. The National Renewable Energy Laboratory notes that deployment faces unique engineering and environmental challenges, including structural stresses from water currents, storms, and ice floes. Additionally, floating PV systems currently come with higher upfront costs, approximately $0.13–$0.15 per watt more than ground-mounted systems, and lifecycle assessments suggest a 15–25% larger carbon footprint depending on system design and orientation.
Conclusion
The proposed 500 MW of floating solar capacity in Texas would mark a significant leap for the technology in North America, elevating it from demonstration-scale projects to true utility-scale integration. If the projects are completed as planned by the end of the decade, they could redefine how reservoirs are valued as both water and energy assets.
Floating solar energy thus represents not only a clean energy solution, but also a water management and infrastructure optimization strategy. While technical hurdles remain, the scale of this project demonstrates that the U.S. market is beginning to recognize its potential in the broader energy transition.
Do you see floating solar as commercially viable at this scale in the U.S.?
If fully realized, the project could represent an investment of approximately $700 million and would rank among the largest floating solar undertakings worldwide. For comparison, the current largest floating solar installation in North America is just 8.9 MW in New Jersey, primarily serving a water treatment facility. Globally, the largest operational floating solar project is around 440 MW in Taiwan, which underscores the scale of ambition for Texas.
Potential Impact and Benefits:
Several studies highlight the multi-dimensional value of floating solar:
- Energy and Grid Value: Floating PV can align well with regional solar resources, contributing to grid decarbonization. A 2023 U.S. Department of Energy study estimated the nation’s floating solar potential at more than 2 TW. On federally managed reservoirs alone, the National Renewable Energy Laboratory (NREL) estimates between 861 GW and 1,042 GW of potential, enough to generate about half the solar energy required to meet U.S. decarbonization goals by 2050.
- Land Conservation: By sitting projects on reservoirs rather than farmland, floating solar avoids competition with agriculture and preserves terrestrial ecosystems.
- Water Savings: Panels reduce evaporation by shading the reservoir surface. Projections suggest a reduction of around 15% of freshwater losses annually, a meaningful co-benefit in arid or drought-prone regions.
- Efficiency Gains: Research from the University of Louisiana at Lafayette and Brazil’s State University of Ponta Grossa found that floating solar systems can achieve around 3% higher efficiency compared to ground-mounted PV, due to the cooling effect of water on module temperature.
- Secondary Value Streams: Italian researchers in 2023 calculated that non-evaporated water preserved by floating solar can generate additional revenue which is over $3 per kW when used for irrigation and more than $4 per kW when repurposed for hydroelectric generation.
Despite these advantages, floating solar is still considered an emerging segment in the U.S. market. The National Renewable Energy Laboratory notes that deployment faces unique engineering and environmental challenges, including structural stresses from water currents, storms, and ice floes. Additionally, floating PV systems currently come with higher upfront costs, approximately $0.13–$0.15 per watt more than ground-mounted systems, and lifecycle assessments suggest a 15–25% larger carbon footprint depending on system design and orientation.
Conclusion
The proposed 500 MW of floating solar capacity in Texas would mark a significant leap for the technology in North America, elevating it from demonstration-scale projects to true utility-scale integration. If the projects are completed as planned by the end of the decade, they could redefine how reservoirs are valued as both water and energy assets.
Floating solar energy thus represents not only a clean energy solution, but also a water management and infrastructure optimization strategy. While technical hurdles remain, the scale of this project demonstrates that the U.S. market is beginning to recognize its potential in the broader energy transition.
Do you see floating solar as commercially viable at this scale in the U.S.?
